The board of State Bank of India (SBI) has approved the resolution plan for the sale of Reliance Communications (RCOM), and its subsidiaries Reliance Telecom and Reliance Infratel.
Voting on RCOM’s resolution plan has started at the committee of creditors (CoC) meeting and will be ending on March 4, 2020. Through the plan, lenders are expected to recover around Rs 230 billion.
As per industry sources, 66 per cent of the CoC votes to be in favour of the resolution plan. The CoC is led by SBI.
According to SBI’s estimations, they will be able to recover 35 per cent of the Rs 410 billion outstanding exposure of banks. However, the total claims made by various creditors against the companies were Rs 1.32 trillion.